090 · Outsourcing Online Services

Are you interested in making money without doing much or anything at all? Who wouldn’t be? And no, it’s not one of those marketing promises you often come across on the web, designed to sell you something you’ll never need. In fact, the idea is to get other people to work, by outsourcing online services, without even having to invest any money. So, how exactly does this work? That’s what we’re going to find out in this article.

• Here's the program
• What is this idea all about?
• Is there a real market for this type of activity?
• What are the most popular outsourceable services?
• How do you find customers?
• Is it ethical to be a middleman?
• How to find the best freelancers for efficient outsourcing?
• How do you set your commission and strike the right balance between profit and competitiveness?
• Tips and tricks
• Conclusion
• EcoTips
• Pros and Cons
• Information recap

What is this idea all about?

In the digital age, where virtually no industry could do without the Internet, the world of self-entrepreneurship is constantly transforming and innovating, opening up new and sometimes astonishing business prospects. One of the trends to have emerged in recent years is the outsourcing of digital services.

This involves entrusting a job or service to a third party, often a freelancer, rather than doing it yourself, and taking a commission in the process. The digital sector offers a multitude of services that can be outsourced, as we’ll see below, and the possibilities for acting as intermediaries are therefore plethoric.

Let’s take a concrete example and imagine you have a client or know someone who’s looking for a professional to write compelling product descriptions for their online store, compose original and stimulating music for the intros of their YouTube videos, or even create a website for a new project. You’ll then offer to find a copywriter, composer, or web developer who will do the job, arrange the online meeting, and take a commission on the fee.

Another possibility is for you to take on some of the work yourself, if you have the required skills, and subcontract the tricky, over-technical, or just plain boring part. Or you could make your customer an attractive offer, pretending that you can do it yourself, and then find a competent professional to do all the work for you, without your customer knowing anything about it. But in this case, ethical problems can arise. I’ll come back to this later.

In this transaction, you play the role of “middleman”, the one who finds the right service for his customer, and earns a commission in the process.

Is there a real market for this type of activity?

Yes, because the freelance world is vast and diverse, teeming with specialized talent ready to offer their services to those in need. But navigating this sea of opportunity can be confusing for some customers, especially those who are new to digital or looking for a very specific service. This is where the intermediary comes in, acting as a bridge between the customer and the freelancer.

The middleman, by his very nature, is a matchmaking expert. His or her main role is to identify the customer’s precise needs and find the most suitable freelancer to carry out the required work. Instead of the customer spending hours, even days, searching and evaluating different professionals, the middleman uses his knowledge of the market and his network to speed up this process.

But the middleman’s value is not limited to simply putting people in touch with each other. They also play a crucial role in managing the relationship between client and freelancer. This includes negotiating rates, clarifying expectations, resolving potential conflicts, and in some cases, managing payments. In short, the middleman ensures that the process runs as smoothly as possible for all parties involved.

What are the most popular outsourceable services?

Outsourcing certain tasks to external experts has taken off with the rise of the internet and platforms dedicated to freelancing. This trend is due in part to the flexibility and economy it offers companies and individuals alike. But what services are people most looking to outsource?

• Web design and development: From the simple setting up of a blog to the creation of a robust e-commerce site, the demand for web developers and designers continues to grow. Not surprisingly, with more and more companies looking to build an online presence.
• Writing and content creation: Whether it’s populating a blog with articles on various topics, writing product sheets for an e-commerce site, creating content for social networks or writing ebooks, writing and creating varied content is essential to engage and inform audiences.
• Digital marketing and SEO: Search engine optimization (SEO), paid advertising (PPC), email marketing and social media management are specialized fields that often require expertise that not all companies have in-house.
• Virtual assistance: Virtual assistants can handle a variety of tasks, from e-mail management to appointment scheduling to online research. They are particularly useful for entrepreneurs and small businesses.
• Graphics and visual creation: This encompasses everything from logos and infographics to videos and animations. Good design can make the difference between eye-catching content and content that goes unnoticed.
• Software programming and development: With the growth of digitization, mobile apps, custom software, and SaaS, solutions are more popular than ever.
• Data management and analysis: With Big Data becoming a crucial part of business decisions, data experts are in high demand to help companies interpret and use this valuable information.
• Translation services: With globalization, the ability to communicate in multiple languages has become essential, hence the growing demand for professional translators.

Of course, this list is by no means exhaustive. The freelance world is rich and varied, and new services regularly emerge in response to changing or emerging market needs. But these are currently among the most in demand. And if you want more, take a look at the categories displayed on Fiverr, UpWork, PeoplePerHour or ComeUp.

How do you find customers?

Plunging into the role of intermediary between a customer and a freelancer is like being the bridge between demand and supply. The key is knowing where and how to find customers who are actively seeking specialized services. If this seems particularly difficult, you should know that there are effective strategies for attracting customers to you. Here are a few steps to guide you through the process.

• 1Identify your target audience: A professional website can be useful as a showcase for your business, giving potential customers a first impression of who you are and what you offer. Also make sure you’re active on the right social networks for your sector, whether LinkedIn, Instagram, Facebook, or whatever.

• 2Create a solid online presence: A professional website can be useful as a showcase for your business, giving potential customers a first impression of who you are and what you offer. Also make sure you’re active on the right social networks for your sector, whether LinkedIn, Instagram, Facebook, or whatever.

• 3Make professional connections: Attend local conferences, workshops, or events related to your field. This is a great opportunity to meet potential customers face-to-face and build relationships. And don’t forget to join online groups and forums to exchange ideas with various industry players.

• 4Offer free consultations: Offering a free initial consultation can help attract the curious. This allows potential customers to see what you have to offer and assess whether a partnership would be beneficial for them.

• 5Use freelance platforms: Sites such as Fiverr, UpWork, PeoplePerHour or ComeUp can be a great way to start finding clients. Although these platforms also take a commission, they offer instant visibility to a wide audience. I’ll come back to this point in a moment.

• 6Gather and share testimonials: Positive reviews from satisfied customers can do wonders for your credibility. Encourage your customers to leave testimonials, and be sure to feature them prominently on your site and in your marketing materials.

• 7Offer quality work: It may seem obvious, but the best advertisement is a satisfied customer. By offering a quality service (both your own and that of the freelancers who will carry out the tasks), you not only build loyalty with your current customer but also increase your chances of being recommended to others.

Is it ethical to be a middleman?

The question of ethics in the outsourcing of online services can be complex and deserves careful consideration. A central element to consider is transparency with the customer because if they think they’re working directly with a professional or company, then discover that the task has actually been entrusted to a third party, it can shake their confidence in you.

So, it’s totally ethical as long as your customer is informed that you’re just an intermediary and receive a commission for your research and negotiation work. In fact, it’s a good idea to inform your customer of the possibility of subcontracting from the outset, either in the terms and conditions of the contract between you or during prior discussions with him.

But some smart guys have quickly realized the potential of this idea and have com up with a rather ingenious trick (let’s face it). They’ve opened a multitude of accounts on freelance platforms, offering all kinds of services without having any of the skills required to provide them themselves, with the sole aim of making a profit. Once the customer has placed an order, they find a freelancer to carry out the requested task, without the customer even knowing about it.

This raises the question of ethics. Some will say that it’s a pure scam while others will argue that buying and selling with commission has existed since the dawn of humanity, that it’s more ethical than dropshipping, that for the customer only the result counts, etc. I confess that I find this rather “borderline”, but it depends on how it’s done (we can debate this in the comments if you like).

After all, the boundary between what’s ethical and what’s not is sometimes quite tenuous and subjective, and everyone places the cursor according to their own sensitivity. For example, I have difficulty finding ethical someone whose job is to buy domain names (a “domainer”) to then resell them at exorbitant prices, later when he finds a sucker… sorry, a customer to buy it (yes you can also insult me in comments if you want 😁).

So, all this to say that you’re free to do as you please (this practice isn’t forbidden by law after all) according to your sense of ethics. But be careful, if you sell your services at a premium (I know there are some very talented marketers out there) and then hire an underpaid freelancer to do the job for a small fraction of the price you asked (especially if the result is mediocre), then you’re just a crook (sorry not sorry 😏).

What’s more, in this case you’ll quickly be sanctioned, since the customer won’t be happy, will demand an immediate refund, and will leave you a very negative note. So Then, your little business will have a very short lifespan.

But whatever you decide, it’s imperative that the work is impeccable and delivered on time. That’s why it’s so important not to find the cheapest service provider, but the one who will deliver professional quality work, in line with your customer’s expectations, and at a price that will allow you to keep a reasonable profit margin.

Finally, if you really want to be transparent, what you can do on Fiverr is publish a gig offering to find the best services for your customers. In this way, you’ll spend the time needed to find real solutions to the sometimes complex problems brought to you by your customers, but you’ll do so transparently and with a real desire to help them.

How to find the best freelancers for efficient outsourcing?

The quality of your service depends on the freelancers you work with. So, it’s vital to find reliable, competent, and professional experts. But how do you sort through the multitude of profiles available on the market? Here are a few tips to help you identify the rare pearls.

• Define your needs: Before starting your search, clearly identify the type of skills and expertise you need to perform the task required by your customer. This will enable you to target profiles more precisely and avoid wasting time with freelancers who don’t match these criteria.
• Explore different freelance platforms: There are many sites dedicated to connecting customers and freelancers, such as UpWork, PeoplePerHour, Fiverr or ComeUp. Each of these platforms has its own specificities, so explore each of them to discover the ones that suit you best.
• Study reviews and recommendations: Feedback from previous clients is often an excellent indicator of a freelancer’s reliability and quality. Take the time to read these comments to get an idea of the seriousness and competence of the service provider. And don’t forget to leave a comment yourself after each completed order.
• Test before making a long-term commitment: If possible, propose a test project or short assignment before committing to a long-term collaboration, or if the project you want to entrust him with is large-scale. This will give you an idea of the quality of the freelancer’s work, his responsiveness, and professionalism.
• Establish clear communication: Quality communication is often the key to a successful collaboration. Make sure the freelancer is responsive, open to feedback, and understands your needs.
• Check technical skills: Don’t hesitate to ask technical questions when interviewing freelancers. This will enable you to judge their expertise and mastery of the tools needed to complete the assignment (you never know you’ll run into one of those smart guys I mentioned above 😬).
• Don’t neglect interpersonal skills: Beyond technical skills, the freelancer’s personality and values can count too. It’s important to get along well and have a relationship of trust for the collaboration to be optimal.

UpWork is an example of a platform where you can find freelancers to outsource your online services.

How do you set your commission and strike the right balance between profit and competitiveness?

Defining your commission is a crucial step but one that can prove tricky. Too high and it could scare off potential customers, too low and it could jeopardize the profitability of your business. Finding the right balance is essential to your success.

But before you can define your commission, you first need to assess all your costs. This includes your fixed expenses, such as website or platform fees, management tools, and taxes, as well as variable expenses such as advertising. Make sure that the commission you’re considering covers these costs while leaving you an acceptable profit margin.

Then, start by doing some market research to understand what your competitors are offering. This won’t necessarily be easy, but it will enable you to situate your offer in relation to the competition and identify a pricing niche that is both competitive and profitable. Take into account the added value you bring to your customers: The greater the added value, the higher the commission you can justify.

Some intermediaries opt for a fixed percentage on each transaction while others prefer a fixed amount. Consider these different commission structures, and consider a sliding scale model based on volume or contract duration.

Finally, gather feedback from your customers to find out what they think of your rates. This can give you valuable pointers for adjusting your commission if necessary. But whatever the amount of your commission, always be transparent with your customers. And if they ask, explain how you set your rates and why they reflect the value of the service you offer.

Tips and tricks

Here are a few final tips to help you succeed with this type of project.

• Adopt a “matchmaking” approach: Act like a dating platform whose aim is not just to connect a client with a freelancer, but to find the best possible match based on their respective needs and skills.
• Use video: If they both want to, arrange one or more initial meetings between customers and freelancers via videoconferencing. This promotes better communication from the outset and gives the customer greater confidence.
• Set up an emergency hotline: Have a dedicated communication channel for emergencies so that customers and freelancers can quickly resolve any major problems that may arise.
• Establish a referral system: Encourage satisfied customers to recommend your services in exchange for a discount or bonus.
• Focus on feedback: After each project, ask for feedback from both the client and the freelancer. Use this information to continually improve your service.
• Protect yourself with insurance: Consider taking out professional liability insurance to cover you in the event of litigation or contractual problems on large-scale or potentially risky projects.
• Master the subject: You need to have a minimum knowledge of the subject you are proposing to be credible in the eyes of the customer. If they ask you for a technical detail and you’re unable to answer, you run the risk of being seen as incompetent. At worst, if the question is really delicate or complex, ask the person who will be providing the service.
• Do some of the work yourself: If you have the skills, you can also do some of the work yourself and entrust a more complex or daunting task to a freelancer. This will give you greater control over the end result and earn you more money.
• Bring real value to every customer: For example, by finding the right talent for the right person or the right project, by finding a better option than the one possibly already found by the customer, or even by doing some of the work yourself. If you’re just there to “short-circuit” a deal that could have been done without you, and therefore bring nothing extra to it, don’t be surprised if some people see you as a mere “parasite”.

Conclusion

So, that’s it for the idea of outsourcing online services. We’ve looked at the role of the middleman, the most popular services, methods for attracting a solid customer base, and tips for optimizing your chances of success.

To be honest with you, I’m not sure how the businesses of those already in the business work, but I’m convinced that there’s a market out there with real potential, so it can work out well if you get it right and follow the advice I’ve given you here. It’s also up to you to try out different approaches and find the best ways to proceed. As in any field, success depends on knowledge, preparation, and adaptability. Let me know what you think in the comments.